Similarly, the actual theatres keep a high percentage of the movie ticket price you pay, yet they make most of their money from the Candy bar. With the tagline “Make a film for your future” this year the thematic competition is asking early-career filmmakers to create a short five-minute film in … Yet, if studios were to decide to collapse the release window and put these blockbusters straight to the small screen, such as through their own streaming services, this might have lasting effects for the future of film distribution and the survival of the cinema experience. The future of filmmaking goes virtual Virtual reality (VR) is still very much an emerging filmmaking trend, but in 2019 it is expected to grow exponentially. SVoD has already surpassed cinema in the US, and the trend is widening to include European and Chinese markets. How COVID-19 accelerates the polarisation in the global watch industry. So the future of the movie business is really the future of science. The industry could benefit from reconceiving storytelling and cinema. by Pat Harriman, UCI | November 30, 2020. Things are bleak now but it could bounce back. A film industry executive is implementing his vision of the future of cinema by advocating and establishing a global "super cinema," one … A look at the future of Hollywood and the cinema industry after the pandemic. The industry relies on cinema box offices receipts, but the studios make equally vast amounts of revenue from digital, streaming and television sales. Major film studios will embrace more distributed teams around the world to collaborate on their highly top-secret film projects. VR has an undeniable future in the film industry. The future of the French film industry and the challenges it faces to be debated in Dijon. Only when movies flop would they make it to video early, and no one wants their movie labelled as such. The COVID-19 crises is set to have an enormous impact on the future of the film production and distribution sector, with the future of the night out at the movies in serious doubt. And yet, collapsing it all together would have been unthinkable two months ago. Augmented reality could develop as wearable mobile devices that provide information access and heightened experiences to our daily lives and become as ubiquitous and commonplace as mobile phones are today.”, “With the rise in quality and affordability of 4K TV, streaming services, and home theater systems, you will see more people staying home to watch movies. I write about the future of business. A film industry executive is implementing his vision of the future of cinema by advocating and establishing a global "super cinema," one that he hopes will secure better survival chances for filmmakers and cinemas. Billions of dollars are bound up in blockbuster film productions that have been completed but cannot now be released, as cinemas had to go dark due to COVID-19 lock downs globally. It is for this reason that Disney, with its Disney+ offering, and other streaming giants find themselves with a growing audience demand, little in the way of competition and a cupboard full of premium quality film inventory, while Pay TV providers such as Foxtel are suffering. Art is now driving technology, and the level of sophistication demanded When television arrived it was small and black-and-white, so feature films became all-colour and cinemascope. But the release window duration has been under pressure for years, especially with the loss of major DVD sales. Our industry must face this wave head on with better stories, more attention to quality filmmaking (not simply following a formula), and high personal standards that produce movies so entertaining a viewer won’t bend to the easy distractions watching a movie at home provides.” ‬, “On the distribution side I see the big studios taking over the Netflix model and doing it themselves, so customers would subscribe to the Universal or the Paramount channel for exclusive content. The first is the corporate multiplex, where comic book characters and tent-pole films reign supreme, interrupted only by audiences consuming foods of varying price and quality. The film industry is a very complex industry, where films cost much more than their budgets to make. All the major planned releases, from Top Gun: Maverick, to WonderWoman 1984 and Black Widow, have all been delayed to the end of the year or postponed to next year. We use a Creative Commons Attribution NoDerivatives licence for our articles and podcasts, so you can republish them for free, online or in print. The Future Of Cinema Scenario 1: more ‘day-and-date’ new releases to stream at home The previous “cinema-killers” didn’t finish off the industry, in part because it has a history of reacting well to threats. 19 Pro Tips on How to Become a Successful Freelancer, How AI and Blockchain Will Shape the Future of Cybersecurity, The Best Waterproof Bluetooth Speakers of Late 2017. It is doubtful that VR and AR will head in a singular direction. How the pandemic is changing the movie industry and cinemas: from delayed releases to extended releases, and from cleaning to streaming an uncertain future looms. In the late 1990s, the exhibition business saw a rash of bankruptcies that cut the number of open theaters. The sound stages are empty and the post-production and visual effects companies are struggling to complete vastly complex computer visual effects productions, with their staff all working from their bedrooms and kitchen tables. But simultaneous releases at Cinemas and streaming does offer advantages to both consumers, and the streaming services are under no obligation to publish statistics on the success or failure of any film, but that alone was not enough to collapse the release window embargo. The second is the community-centered cinema, where people go to connect with the world and their neighbors. Action? “The future of film is in virtual and augmented realities. To learn where it’s headed, we spoke with film industry experts and asked them one question: “The backdrop for the film industry is ever-evolving. Cinemas are reopening, but will audiences return? Get the latest from Sydney Business Insights straight to your inbox, Coronavirus (COVID-19) and its impact on business, Meet our collaborators and engage with us, The future of the film industry: With cinemas dark, all eyes are on streaming, Creative Commons Attribution NoDerivatives, Grocery tourism, entertaining survival plans for your local store, The business of vaccines on Corona Business Insights, Using crisis as an opportunity for transformation – lessons from the GFC for higher education, The watch industry on Corona Business Insights, Movies and cinemas on Corona Business Insights. If we were to take the advances in previsu… The dominos would fall and a night out at the movies could go the way of the fax machines and phone booths. Over the past decade, the visual effects industry has developed tools now used in other film-making phases - not just post. In April 2020, ODEON owner Adam Aron banned all Universal films from his cinemas after the distributor claimed it would release their films … Arts Business Predicting the future of the entertainment industry after COVID While film productions paused and movie theaters shuttered entirely, streaming services grew by … Normally, the US summer is blockbuster season when the studios make most of their revenue. The ability to effectively use data and machine learning will be critical to the greenlighting phase all the way through marketing and beyond. But we’re fairly confident that the technology will have a significant impact on cinema’s future. The film industry is a major industry globally, with blockbuster films costing well over a US $100 million and the industry itself had been projected to break $50 billion by the end of 2020. by Fabien Lemercier. At the end of the day, regardless of change, good content and sound storytelling will always be king.”. Major studio players will of course want to jump on the current trend in order to offer moviegoers the ultimate immersive experience. Additionally, as VR technology advances and becomes more seamless, filmmakers will be afforded more options for storytelling, making both short and long form content will be viable.”, “Speaking for film exhibition, there are two distinct pathways. Influencers in a pandemic: from struggling after travel lockdowns and marketing cuts to thriving in a world of online experiences. It is not uncommon for the marketing budget for a blockbuster film to be equivalent to the cost of making another whole film. Every year, new technologies emerge that force the industry to reinvent itself and that pace of disruption is only getting faster and faster. What’s The Future Of Social Media Marketing? For more industry insights and cool future technologies, check out some of these articles below. Key aspects of filmmaking from video editing, to animation, to VFX are all moving to the cloud. Therefore, how the film industry will operate one year can reasonably be expected to be very close to that of the year before. First is the consumer confidence related to safety, and second is the lack of film … As the industry continues to innovate there is more data being generated from higher frame rights, 3D imaging and computer generated imaging, which is difficult for legacy technologies to handle. We can expect that something will have to give, and we might see some of these productions on the small screen faster than usual. With the American Film Industry taking over majority of the Box Office there have been fears surrounding the future of the Australian film industry and whether our films will slowly die out. In the pre-Corona world movies would always see the light of day at the cinema first, with a well-spaced release window before they make their way to DVD or the TV screen. And while Network TV is built on reality and sport, the streaming services are not, they are built on series, comedies and dramas. His research is into using interactive realtime digital humans as new forms of Human Computer Interfaces. Thomas Elsaesser and film studies. With a good rom/com, thriller, or musical thrown in to ‘change the channel.’ In order for this to succeed, we must consciously focus on stories outside of our comfort zones, support storytellers from all walks of life, and stake out our turf as the town crier. As for cinemas, the future is unclear. Predicting the future of VR/AR is a bit like trying to predict the future of the internet 15 years ago. In the summer we thought it might be turning a corner, but now things are racing out of control. With feature film data sets in the cloud, these post production editors will be able to securely access the data from anywhere … The business of vaccines: investment, research risks, pricing, manufacturing, and distributing a COVID-19 vaccine. Latest Nostradamus report anticipates a “leaner” industry by 2023. With feature film data sets in the cloud, these post production editors will be able to securely access the data from anywhere and studios can be confident that their next big blockbuster is protected.”. 06/11/2019 - Current tensions and potential solutions are on the agenda of the ARP’s 29th Film Meetings, unfurling 6 – 8 November. But with little else to do, audiences are watching much more TV, and seeking out anything to entertain their locked in boredom. Transparency, brand interaction and UGC will be very critical. There is a pipeline of already filmed projects, but this is fast running out. Everyone eats. It is now more than likely that one of the casualties of CORID-19 will be the cinema experience of popcorn and a night out watching a movie, at least as a mainstream activity. How should the education sector adapt? Thus, the pressure for film studios to unlock the millions or even billions of production capital tied up in already filmed but unreleased movies is now mounting. Pressure now mounts for studios to recoup some of their cost through early releases to the small screen, often through their own streaming services. I approach this by interviewing founders, CEO's, and other game changers to share their vision for the future of their industry. Netflix’s Beasts of No Nation, Amazon Studios’ Manchester by the Sea). Major film studios will embrace more distributed teams around the world to collaborate on their highly top-secret film projects. Film festivals have all been cancelled or moved online and cinemas are closed and the industry faces an uncertain economic future. Causal theaters, like casual dining will still be around, but the high end experience will create a new and exciting market.”. All in, OTT is predicted to reach US$46 billion in 2019, beating worldwide box office receipts of US$40 billion. “We’re witnessing what may be the irreversible turn from cinema being a theatrical mode to becoming a predominantly streaming medium,” says Lucas Hilderbrand, UCI professor of film & media studies and visual studies. The pressure to unlock the millions or even billions of production capital tied up in finished but unreleased films must be intense, and only growing week by week. Cinemas are shut, productions are on hiatus and almost everyone is at home watching TV and VOD content. Everything will be even more fast-paced resulting so we need to stay as nimble as possible. Does this mark the death of cinema chains and of the night out at the movies? Eric Kohn. The quality of the character animation, the look of the final rendered imagery, and the innovation in making the film are not only impressive—they show us the future of cinema. Major studios must continue innovating to stay relevant, because entry from new players is inevitable (e.g. The Proof is in the Phone: The Future of IDs, How AI Is Shaping The Future of Life Sciences. Some episodic TV shows that still have new episodes yet to air are seeing 20% to 30% jumps in viewers, representing millions of eyeballs, with almost no other competition, other than online gaming (which is also up dramatically). Grocery shopping will never vanish, but how we transact the action of buying food in store will evolve after the pandemic. For example, Mulan is said to have cost between US$290–300 million, and it was pulled even as press screenings were starting last month. It might still be a long way from everyday use, but for interested film and video professionals, it’s certainly one technological trend that’s worth tracking for the future. The future of film: can cinema survive Covid-19? “The film industry is becoming more and more IT-intensive and technologically advanced. In 10-15 years, Hollywood will be a global enterprise, particularly given China’s growing role in the film industry. We will see the rise of applications in social media environments that allow us to communicate in both virtually and augmented environments for personal and professional purposes. The time frame of about 10 years (maybe even a little less) is about right for this shift, as widespread consumer adoption of VR needs to grow, as well as theatre adaption to accommodate this relatively new medium. With the introduction of VR and 360º video currently a hot topic in Hollywood, the next step is obvious. If one looks at the advertising in the world’s most expensive TV show, the American Superbowl, a vast percentage of those highly expensive Ad spots are trailers for films. The 2019 box office is down nine percent from last year, and soon the theaters’ Netflix battle will be joined by Disney+, Apple+, WarnerMedia, and more. This is driven by the desire to have a strong opening weekend box office revenue. Mike is a co-founder of the Motus Lab at The University of Sydney Business School. When China recently re-opened its cinemas, audience were reluctant to return, before the Government re-closed them again anyway. 12 valuable lessons from the 2008 financial crisis and how to apply those lessons to the upheaval of COVID-19. The film industry, like every other industry, is in a constant state of change. Previously, visual effects were always added post-production, after the action had taken place on set. Streaming services all have seen between 20-30% jumps in viewership during the first few weeks of the crisis. Moreover, a steadfast distribution rule dictates an exclusive release window between when a film premieres in cinemas and when it can first be streamed or downloaded. So how could this trend develop? The professional sports codes have stopped and the Housewives of Bravo and the unwed Bachelors must all battle with each other without the aid of camera crews turning it into Reality TV. By 2020, China's box office is expected to reach RMB200 billion and will exceed North America as the world's largest market in box office revenue and audience numbers. A newbie to VR spends quarantine learning about the technology, and finds a lot of potential. Przylipiak, M. (2019). At the same time, the television industry is faced with an exceptionally complex problem. Netflix has influenced the way consumers devour their entertainment at home. For example, they could increase development of shorter and less cost-intensive content types, attracting younger audiences and talent while leveraging social media and video-sharing … The silver lining, however, was that it … With box office revenue of RMB44 billion in 2015, China is the fastest growing film market in the world. But these are not normal times. Until recently, releasing blockbuster films direct to video was not a viable option, the loss of potential cinema revenue would have been enormous. 40% of the studios’ annual revenue comes from films released between May and August. Netflix’s promise of a … The cloud can help solve data complexities that face the production of a film including real-time access to data sets from any global location. That season is now decimated. This is clearly not going to happen now. Join our mailing list for exclusive content. industry has entered into an unprecedented "golden age". This might have lasting effects for film distribution and the future of the cinema experience. The US is only the third largest cinema market after China and India, but the impact that a strong box office opening can have in establishing a film as a hit casts a bright light over its overseas revenue and possible online revenues.